Project gets new life: Planned condo development would be first in six years in Southeast Volusia

Wednesday

Jul 31, 2013 at 6:59 PMJul 31, 2013 at 8:45 PM

A concrete slab and 10-foot high block walls with exposed rebar sit behind a chain link fence as an ugly reminder of how quickly the oceanfront condominium market crashed here in 2008.

By BOB KOSLOWbob.koslow@news-jrnl.com

NEW SMYRNA BEACH — A concrete slab and 10-foot high block walls with exposed rebar sit behind a chain link fence as an ugly reminder of how quickly the oceanfront condominium market crashed here in 2008.

But on the ruins of the partially built former Vizcaya condominium complex, which was abandoned during the Great Recession, a new developer is looking to build a new luxury condo complex, but with a different design and a new name: Waterford.

The planned 19-unit complex at 807 S. Atlantic Ave. would be the first oceanfront condo project to be built in Southeast Volusia in six years.

St. Petersburg-based Eckall Development says it already has two reservations for condo units at Waterford.

The city’s planning board on Monday will consider a new site plan for the seven-story building that developers hope to begin building by the end of the year.

“This is just the perfect timing because the inventory is starting to tighten up,” said Pat Collado, owner of Collado Real Estate in New Smyrna Beach, the exclusive sales agent for Waterford. “The timing is definitely right as the economy is on the upswing and people are spending money again on what they want.”

Condo demand in New Smyrna Beach is on the rise.

From March through June, condo sales rose 34 percent to 205 this year from 153 last year, according to the New Smyrna Beach Board of Realtors. The median sale price in June was $189,000, up 6 percent from $139,000 a year ago, but slightly down from $212,500 in April, the highest level in 1.5 years.

A declining inventory is also fueling a rise in prices. The number of condos for sale in Southeast Volusia fell 22 percent to 462 in June, the lowest level in at least 4-1/2 years, from 594 a year ago.

“We can’t keep a condo on the books if it’s priced right,” said Ellen Darden, a luxury condo sales specialist with Watson Realty in New Smyrna Beach. “The condo market is heating up again. The Waterford is in a good location and should be very marketable.”

A Winter Park developer started building the proposed nine-story, 19-unit Vizcaya condo project in 2007, but abandoned the project the following year.

That left a development site where 193 pilings had already been pounded into the earth, a slab poured and blocks laid for the first-floor walls. The property has remained in that state ever since.

“There’s a lot to cover up there,” said Gail Henrickson, the city’s planning manager. “We’re all very happy to see somehting happening there. It’s been in that state since, what, 2007, 2008.”

Eckall Development bought the property in December for $1.1 million, according to Volusia County property records. The existing infrastructure was tested and is sound, said Lee Allen, a company principal.

Allen and Ken Eckelkamp, the founders of Eckall Development, say they are already familiar with Southeast Volusia having previously worked for JMC Communities, which built the 310-unit Minorca condo complex at the north tip of New Smyrna Beach between 2002 and 2007 and the 39-unit Seacrest condo complex in 2007 at 4071 S. Atlantic Ave. in New Smyrna Beach.

The last oceanfront condo started in the city was The Wave in 2007 at 2801 Hill St. The project was only 80 percent completed in 2008 when it was foreclosed and abandoned. Houston-based Silvestri Investments, which owns the Oceanwalk Condominiums in New Smyrna Beach, bought The Wave in late 2009, completed construction and has sold 10 of the 11 units.

“We know the New Smyrna Beach market and have been monitoring it the past year,” Allen said. “We feel strongly that people have been sitting on the sideline waiting for this kind of product.”

Eckall Development needs to sell at least 11 units at Waterford before it can start construction, Allen said.

The company is offering six floor plans, including two penthouse units, each three bedrooms and three bathrooms. The units range in size from 1,845 square feet to 3,088 for a penthouse.

Prices currently range from $700,000 to $1.6 million, but are expected to rise once construction starts, Collado said.

“This is a great location on the ocean and within walking distance to Flagler Avenue with its shops, restaurants and galleries,” Collado said. “There’s also two covered parking spaces for each unit, something you don’t find elsewhere.”